Market's getting smoked right now. pic.twitter.com/zjGRfnpDDp
— Mac10 (@SuburbanDrone) April 15, 2024
Recent market volatility, characterized by a three-day streak of significant selling, reflects mounting apprehensions amid escalating yields and deteriorating performance of real estate stocks. Against a backdrop of shifting interest rate expectations and concerns over stagflation, investors grapple with the implications of a potential worst-case scenario for the real estate sector. JP Morgan CEO Jamie Dimon’s warning underscores the severity of the situation, highlighting the potential ramifications of stagflation on an already struggling segment of the market.
Geopolitics is just a reason, stocks falling as yields are back above 4.65%
— The Macro Guy (@SagarSinghSetia) April 15, 2024
"Stock market volatility comes in 3 flavors – low, medium, and high – and, as we move from one to another, stock prices rise or fall."@DataTrekMB pic.twitter.com/tW3CZSVL4k
— Daily Chartbook (@dailychartbook) April 15, 2024
Rates! pic.twitter.com/AfUblztDpe
— QE Infinity (@StealthQE4) April 15, 2024
Real estate stocks have recently plummeted to an all-time low relative to the S&P 500.
Since February 2007, the S&P 500 Real Estate index has underperformed the market by a whopping 67%.
Overall, the sector has risen by only 17% since 2007 while the S&P 500 is up 254%.
As rate… pic.twitter.com/8CNqJ3qCTK
— The Kobeissi Letter (@KobeissiLetter) April 15, 2024
Stagflation could be on the way and would be a worst-case scenario for real estate warns JP Morgan CEO Jamie Dimon pic.twitter.com/XXUt6sah3e
— Win Smart, CFA (@WinfieldSmart) April 15, 2024